Legal recourse for Removing a Late Payment

[coolandcalm]

I have an auto loan with payments due on the 22nd of each month.

Last year, I was behind on payments and cut it close to a 30 day late reporting on a few occasions. I've since improved my situation and have become fully caught up.

My lender reports a payment 30 days late, if it isn't received by the last day of the month, following the origianl due date of the payment.

Example:  Payment due 11/22/24.. reported 30 days late, if not received by 12/31/24. This is technically over 30 days late, but this is the way they state it via multiple email notifications.

I made a couple payments  this way, before the last day of the month, and they were reported as "on time".

Then, I made a payment on 12/31/24 for my past due amount before the cutoff time, and later a 30 day late was reported for this payment. I've tried to dipsute and have it removed, but it comes back as verified.

Not sure how much probability I have in getting it removed.. Seems like a verbal/contractual notice of some sort. The email should be enough to have it removed?

[Jnbmom]

Are you stating your payment was due on 11/22/2024 and you paid it on 12/31/2024  

if this is the case you were 30 days late  and they reported correctly .  You can try a goodwill letter to try to remove if that was your only late.

[Patient957]

Have you tried speaking directly with the lender about it?   

Explain that you made the payment before 8:59 pm on 12/31.  If you don't get a solution with the first CSR, HUCA, ask to speak with a supervisor.  I would want to exhaust all options with the lender first, before disputing with the CRAs.

Edit to add:  And be nice! You don't want to burn any bridges, because the next step is a goodwill campaign.

[Patient957]

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@Jnbmom wrote:

Are you stating your payment was due on 11/22/2024 and you paid it on 12/31/2024  

if this is the case you were 30 days late  and they reported correctly .  You can try a goodwill letter to try to remove if that was your only late.

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Yes, but the lender sent a communication stating explicitly that the payment had to be before 8:59 Pacific on 12/31.  You have to look at the image in the OP.

[Jnbmom]

I did look it's still. 30 days late regardless and they can report . New Year's Eve may have contributed as well , due 11/22 you paid  12/31 that's late 

I would use that email in the goodwill letter but late is late unfortunately 

[Patient957]

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@Jnbmom wrote:

I did look it's still. 30 days late regardless and they can report . New Year's Eve may have contributed as well , due 11/22 you paid  12/31 that's late 

I would use that email in the goodwill letter but late is late unfortunately 

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I'm sure this is correct legally, but morally and ethically if they represented something in writing, they should honor it.

OP, you are going to need proof that you made the payment by the 8:59 deadline to get any consideration.  And be prepared to escalate your efforts and always be nice.

[coolandcalm]

Yeah.. their customer service agents haven't been able to help much, except for creating inquiries with their credit reporting department, which seems to be outsourced, and doesn't engage in direct contact with account holders.

I really wanted to determine if I have a legitimate legal argument for removal here, considering they always send these emails with the terms.

[BallBounces]

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@coolandcalm wrote:

Yeah.. their customer service agents haven't been able to help much, except for creating inquiries with their credit reporting department, which seems to be outsourced, and doesn't engage in direct contact with account holders.

I really wanted to determine if I have a legitimate legal argument for removal here, considering they always send these emails with the terms.

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If you wish to see if you have legal standing, talk to an attorney instead of the good folks on this forum.

As for my opinion, no, you have no legal standing and the best you can do is explain your rationale via GW requests, or dispute it with your "documentation" as evidence.  But what do I know?

[SilentTraveler]

I am neither a lawyer nor an expert on correct usage of the English language, especially relating to corporate-speak.  I did, however, note two things that caught my eye in the notice that use the words "will" and "can".

It states in that "A 30 day deliquency notice will be reported to the credit bureaus".

Then it says that if the payment is received by 8:59PM it "can prevent your account from being reported".

My take is that the payment is legally late and is entitled to be reported.  But if a payment is made it is at their discretion on whether to report it as late.

[FicoMike0]

Wow, you must have missed it by hours or minutes. Bad luck. Id try for goodwill. I'd also try not to cut it so close again, but I'm sure you've figured that out.